Forecast is grim for Kenya tourism this year
NAIROBI, Kenya (eTN) - Kenya’s tourism players are concerned that the sector may not recover fully this year following turmoil in global financial markets and political disturbances in the destination early last year.
A spurt in December 2008 that saw hotels at the Kenyan coast fully booked over Christmas and New Year festivities by both local visitors and international tourists renders little hope of recovery.
Players in the sector say a fall out from the sub-prime mortgage market in the US and Europe, the country’s traditional source markets, is expected to impact negatively on leisure travel. Ongoing recovery efforts following violence that scared tourists in the first quarter of 2008 are also yet to pay full dividends.
In case the fears are realized, rising tourist numbers from the rest of Africa and from the Far East, particularly China, might not meet the deficit.
The year 2007 recorded the country’s highest number of visitors ever, variously estimated by the government and by the Kenya Tourist Board (KTB) as ranging from 1.7 to 1.8 million visitors. Most hotels were fully booked for Christmas and New Year holidays long before the beginning of December 2007.
However, tourists fled the country in droves at the beginning of 2008 following violent political clashes that saw hundreds of Kenyans killed soon after the December 27, 2007 General Election, which resulted in presidential results being disputed. But no tourists were hurt during the skirmishes, which were largely concentrated in Western Kenya regions of Nyanza and Rift Valley and in poor neighborhoods of Nairobi.
As a result, tens of tourist establishments cut down on operations, closed most wings of hotels and lodges, and retrenched thousands of workers.
By April last year, tourists had begun to troop back to their favorite beaches on the Kenyan coast. Despite gallant marketing efforts by the KTB, the numbers remained elusive.
Widespread job losses were also reported in the lucrative tourism sector due to massive tour cancellations following the upheaval.
According to the Kenyan Bureau of Statistics’ latest economic report, the tourism sector declined 34.7 percent over most of last year. The KTB itself estimates tourist arrivals between January and October last year shrunk 35.2 per cent, from 873,00 t0 565,000. Updated figures from the KTB are expected to be released by next month.
Kenya Association of Hotelkeepers and Caterers Association chief executive officer Mike Macharia, told reporters last month that the situation is not likely to improve in 2009 either. “As at December 2007, we used to receive 41 chartered flights weekly in Mombasa. After the election violence, we hardly received three. Today, we are receiving about 11,” Macharia told the Daily Nation a few days before Christmas last year.
He blamed the violence for the declined in tourism. “When flight plans are changed, the concerned agents usually started to market new destinations. That is not we are not envisaging a recovery any time soon,” he added.
However, the KTB is optimistic that the sector will recover as a result of aggressive marketing and economic recovery in tourist source markets affected by the global financial crunch.
Comments
I adore Kenya and I have been working, holidaying and even living there since 1995. In fact I moved there to start a new job in 2006 and was forced to return early in 2007 due to the growing tension. Kenya has become over twice as expensive to visit since 2003 and is perhaps even moreso for living. The threat of security, personal wellbeing and costs are outweighing the traditional attractions. Furthermore, tourism is changing and people are not necessarily content with lying on a beach. My advice to Kenyan Tourism Authority is to seek to understand why people are attracted to Kenya, in particular, and to develop their business gradually and without exploiting visitors, especially returning regular guests. You know, many people such as myself would be only too pleased to help you develop your country, bringing in and transferring our skills, knowhow and love of your country. Tourism is like a passive window - how about seizing that opportunity and becoming active. Kwaheri...
I'm going to kenya since 95 what ive seen is the following problems:
-kenya is to expensive for regular tourists
-not developped enough for wealthy tourists, as they expect minimum standards
-kenya does not at all meet international tourism standards, not even "third world" country standards
go to thailand and see what i mean...
-rampant curruption drives tourists and investors away, because of the daylie stories how people get coned by their money, lands, properties and no help in sight for them
-people at the beach still get harrassed by so called beach boys
and the list goes on and on
i got used to it, and know how to get around problems, but new tourists dont and get scared away and tell this stories at home.
every happy tourist goes home and tells about it, every unhappy one too.. and this are the majority, even if they say in the hotel everything is great..at home they tell another story..
i dont know wheter this was helpful...but its how i experience this country...sadly
I am from the USA and LOVE Kenya (having been there each yeaar since 2005) - but I do agree that the prices are getting a bit out of hand - if they could be moderated even slightly, it would encourage others to come - again and again!
I am in agreement with the last comment that it is too soon for Kenya to go Prime after the 2007/2008 political fiasco. The tourism stakeholders should work on recovery first, and this might take some time with the current global economic downturn, before escalating prices of services. It is volumes that drive sales not high costs and hence by targeting lower rates but with quality service, the industry is more likely to hit a quick recovery path. I am therefore opposed to anyone in Kenya's tourism sector raising park prices, accomodation rates etc at this time.
I think they are driving away tourists by overcharging on everything. For example, they want $90 to $150 for a simple hotel room in Nairobi as well as the high prices for game parks. You should not have to pay for one day what the worker makes in 2 months. Thats a lot of money for Kenya. I get the feeling they want to make a years wage off of one tourists short visit.
Maybe if they were to charge a reasonable and fair rate for services, it would encourage tourism. It would certainly make a difference to me.
I travel all over the world but I go to places that I think are offering me a reasonable deal (not necessairly cheap), but reasonable. Fair and honest wins every time for me.
I like to look at he average wage of the worker to decide if the deal offered is good or not. I still have lots of places to visit that make me feel wanted by not being so transparent with their overpricing.
Isn't it so strange that in a struggling tourist industry our wonderful KWS decides to increase Park Fees from 40 to 60 USD per day. After the post election you would think that the stakeholders would give a special Kenya Incentive instead of making it more expensive for people to travel.
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